Indonesia's exports of crude palm oil (CPO) to the European Union are exempt from tariffs following the signing of an Indo-European Union Comprehensive Economic Partnership Agreement (IEU-CEPA). The agreement, which was announced in June, aims to boost trade between Indonesia and the EU. As a result, Indonesian CPO exporters can now export their products to the EU without facing any tariffs, providing a significant boost to the country's palm oil industry.
Indonesia expects to finalize its documents for the Indonesia-European Union Comprehensive Economic and Partnership Agreement (IEU-CEPA) by September, according to Indonesian Minister Hartarto. The agreement's impact will be significant for Indonesian businesses with the launch of the EU visa cascade system in Jakarta. President Prabowo Subianto and European Commission President Ursula von der Leyen announced the completion of negotiations on July 13, 2025, at a joint press conference in Brussels, Belgium.
Indonesia is seeking to boost its competitiveness in the US market through a new tariff policy, which could benefit commodities such as copper concentrate and copper cathode that are not produced in the US. The country is pushing for zero percent tariffs on these industrial commodities, including crude palm oil, rubber, meranti wood, and copper derivative products, as part of ongoing negotiations with the US. In return, Indonesia has committed to purchasing $15 billion worth of energy products, $4.5 billion worth of agricultural goods, and 50 Boeing aircraft from the US.
Israel Faces International Pressure Over Gaza
Germany's Foreign Minister Johann Wadephul has described the humanitarian situation in Gaza as 'beyond imagination', urging Israel to send aid to avoid mass deaths due to starvation. The Israeli military is accused of making it impossible for Palestinians to safely receive aid, with crowds of hungry people met with gunfire at border crossings. Germany's foreign minister has called on Israel to be open to peace and criticized Israeli settlements as an obstacle to a two-state solution. The conflict between Israel and Hamas has resulted in over 60,000 Palestinian deaths, according to Gaza's Health Ministry. Egypt and Hamas are locked in a dispute over humanitarian aid for Gaza, with the EU urging Israel to take action to alleviate the suffering of Palestinians.
Libya, Türkiye, and Italy have coordinated their efforts to promote regional stability and international cooperation through a summit. The meeting aimed to find common ground that benefits the local population and supports global stability.
Malaysia is under pressure to host the GBC (Greater Cambodia Cooperation Treaty Organization) summit, as refusing to do so could cast doubt on its intentions and jeopardize Asean's credibility in conflict management. The international community, including President Donald Trump, is also weighing in, threatening punitive tariffs on Cambodia and Thailand if fighting resumes. With time running out, Malaysia must balance humility with firmness to salvage the peace process and avoid losing momentum towards a resolution.
Maryam Nawaz Meets Saudi Ambassador Al-Maliki in Islamabad
8.1.25
Pakistani PMLN President Maryam Nawaz met Saudi Arabian Ambassador Nawaf Bin Saeed al-Maliki, discussing economic cooperation, defence partnership and unity of the Ummah. She expressed her commitment to strengthening relations with Saudi Arabia, citing mutual trust, shared values and long-standing brotherhood as the foundation. Pakistan seeks Saudi cooperation on trade agreements, including the GCC Free Trade Agreement, and has hosted 2.5 million Pakistanis in Saudi Arabia. Maryam also congratulated the nation on the launch of a new remote sensing satellite, praising its potential to provide timely warnings for disasters.
Multiple Countries Recognize Palestinian Statehood
8.1.25
Multiple countries are set to recognize Palestine as a state during the upcoming UN General Assembly session, with Canada, Malta, and France making official announcements. The UK has announced its intention to recognize Palestine but with conditions, while 10 European Union countries have already recognized the state of Palestine. Israel's plan to annex the West Bank has sparked international concern, with Canada and France planning to recognize a Palestinian state before the UN. The US supports Israel, while Palestinians welcome international support for their decades-long quest for statehood. Recognition may strengthen Palestinian negotiating position in the long term, but its impact is uncertain. Some countries, like Australia, support a two-state solution where Israel and Palestine coexist in peace and security within internationally recognized borders.
To avoid underestimating opponents and escalating conflicts, world leaders should adopt an agnostic approach to negotiations, focusing on finding mutually beneficial solutions rather than trying to overpower the other side. This involves signaling a willingness to negotiate and give a good deal, acknowledging the opponent's power while avoiding a confrontational tone. By doing so, negotiators can create a safe space for open communication, where both parties share their interests and work towards a collaborative outcome.